Gothamist
A non-profit newsroom, powered by WNYC.
Gothamist
Listen Live
News
Cuomo Wants To Give Banks & Corporations $400 Million In Tax Breaks
By
Christopher Robbins
Published Feb 10, 2014
Modified Feb 10, 2014
Share
FacebookTwitterRedditEmail
Never miss a story
Email address
By submitting your information, you're agreeing to receive communications from New York Public Radio in accordance with our Terms .
Getty Images
By
Christopher Robbins
Published Feb 10, 2014
Modified Feb 10, 2014
Share
FacebookTwitterRedditEmail
We rely on your support to make local news available to all
Make your contribution now and help Gothamist thrive in 2026. Donate today
Gothamist is funded by sponsors and member donations
Governor Andrew Cuomo has made it clear that he cares more about political expediency than bare necessity. So what are we to make of his plan to give banks and corporations as much as $400 million in tax cuts?
A committee of experts ordered by the governor to review the state's tax code and make recommendations issued a report this fall [PDF] that stated "New York's taxes are too high and its tax code too complex."
In addition to pointing out a need for a sales tax reorganization and funding low and middle income tax relief, the report states that the "corporate franchise tax structure is badly outdated, unduly complex and vulnerable to aggressive tax avoidance techniques."
New York continues to tax banks and other financial corporations under different articles of the Tax Law, based on "transitional provisions" that have preserved the tax status of these corporations as of the time the GLBA became law.
The current system violates the basic tax policy principles of fairness and efficiency, increases compliance and administration costs and results in a volatile revenue base.
More than 20 percent of corporate taxes are collected through the audit process, a telling statistic supporting the need for reform.
The committee's revenue neutral recommendations include consolidating bank and corporate taxes, and repealing certain business tax incentives.
Instead, Cuomo is proposing to slash taxes for these entities, repeating the same canard that “people move and businesses flee" under threat of higher taxation.
“This is a huge bank tax cut masquerading as tax reform,” James Parrott, the chief economist at the Fiscal Policy Institute and a member of the committee, told the Times.
Carol Kellermann, a spokeswoman from the Citizens Budget Commission, another nonpartisan budget watchdog group, said that she couldn't comment specifically on the cuts or the governor's proposal, and that the CBC would release their position on Cuomo's proposal later this week.
"In general, consolidating [taxes] is a good thing," Kellermann said. "But if you look at the report, I don't think they recommended any cuts that weren't revenue neutral."
Tagged
2016
banks
governor cuomo
hillary vs. cuomo
taxes
wall street
Christopher Robbins
Christopher Robbins is a New York City reporter covering transportation, affordable housing, local politics, and criminal justice. His work has also appeared in New York Magazine, The Village Voice and The New York Times. Chris is a graduate of Patrick Henry High School in Roanoke, Virginia, and enjoys biking to Fort Tilden in the summertime.
Read more
Gothamist is funded by sponsors and member donations
Gothamist is funded by sponsors and member donations
MORE news
Staten Island fire injures 2, but spares historic 'Godfather' church
Dozens of firefighters responded to the blaze, which started in a vacant warehouse. It was contained within three hours.
By
Giulia Heyward
Published Oct 18, 2026 at 10:34 a.m. ET
Bail reform remains major issue in NY governor's race, 7 years after it became law
Repeat offenders are a big talking point in the governor's race.
By
Gino Fanelli
News
Bail reform remains major issue in NY governor's race, 7 years after it became law
Repeat offenders are a big talking point in the governor's race.
By
Gino Fanelli
NYPD searching for 'person of interest' in fatal Midtown subway platform shooting
By
Ryan Kost
and
Elizabeth Kim
Have you seen this Yorkie? NYPD looking for adorable pup dognapped from her Queens home
By
Ryan Kost
Being reigning champions is weird for Knicks fans, but we could get used to this.
By
Catalina Gonella
Never miss a story
Catch up on the most important headlines with a roundup of essential NYC stories, delivered to your inbox daily.
Sign upEmail address
By submitting your information, you're agreeing to receive communications from New York Public Radio in accordance with our Terms .